Scruitiny of Returns

[VENU K]

Sec 73(1)

Where it appears to the proper officer...........

So when a notice is issued demanding tax for violation of say 16(4) straight away under Sec 73 is it possible to argue that

To Appear anything to officer an investigation or assessment is required. The department cannot straight away launch Demand and Recovery mechanisms.

In this case 16(4) violation can APPEAR to Officer only after undertaking a scrutiny of returns. So ASMT 10 proceedings are mandatory before initiating Sec 73(1). The officer has to follow the due process and cannot skip the process.

AI Summary

Due process in GST assessment: absence of mandatory ASMT-10 can be contested before issuing demand notices.
Whether a show cause notice under Section 73 can be issued without prior Form ASMT 10 is disputed: one view treats Rule 99(1)'s 'shall' as mandating ASMT 10 and adherence to due process, while another view permits direct issuance where ineligibility of input tax credit is apparent on the face of filed returns. The debate centers on the proper scope of 'scrutiny', whether simple desk review suffices, whether omission of ASMT 10 causes prejudicial breach of natural justice, and conflicting high court authorities on the procedural consequence of not issuing ASMT 10.